Publication Date: 05.11.2025

Author: Holger Schmidt / FAZ
Source: FAZ Pro - Digital Economy
Publication Date: 05.11.2025
Summary Reading Time: 3 minutes

Executive Summary

Google has successfully overcome the "Innovator's Dilemma" and radically transformed its traditional search business to AI technology – with higher revenues despite displaying fewer links. The AI integration leads to more intense user interaction and longer dwell times, creating new advertising opportunities. However, this transformation comes at the expense of the open web and traditional publishers, who are increasingly being displaced from search results.

Critical Key Questions

Market Power vs. Innovation: Is Google using its dominant position to systematically weaken the open web and take over information sovereignty?
Transparency and Competition: What are the long-term effects on opinion diversity when AI answers increasingly replace direct publisher links?
Digital Sovereignty: Do new dependencies emerge through Google's AI dominance that threaten free information access and media diversity?

Scenario Analysis: Future Perspectives

Short-term (1 year):
Publishers experience declining click rates and advertising revenues, while Google continues to advance its AI integration and expand market share.

Medium-term (5 years):
The traditional web ecosystem fragments – successful content providers develop direct monetization strategies, while weaker ones disappear from the market.

Long-term (10–20 years):
A bifurcated information landscape emerges: AI-curated answers dominate everyday search, while specialized platforms emerge for in-depth research.

Main Summary

Core Topic & Context

Google has successfully transformed its core search business to AI technology, thereby overcoming the classic "Innovator's Dilemma." Instead of experiencing revenue declines due to fewer link clicks, the company is increasing its earnings through more intense user interactions and longer dwell times.

Most Important Facts & Figures

AI integration leads to higher revenues despite displaying fewer links
Users make more queries and interact more intensively with search
Longer dwell times create additional advertising opportunities
Publishers and the "open web" are systematically relegated to the "shadow realm"
Google achieves record quarter through successful AI transformation

Stakeholders & Those Affected

Winners: Google, AI-savvy advertisers, users with simple search queries
Losers: Traditional publishers, content websites, smaller search engines
Observers: Regulatory authorities, competition watchdogs, European tech policy

Opportunities & Risks

Opportunities: More efficient information retrieval, new advertising formats, more innovative search experiences
Risks: Monopolization of information distribution, weakening of media diversity, dependence on one AI system for critical information needs

Action Relevance

Decision-makers should secure alternative information sources and critically evaluate digital dependencies on Google services. Publishers must develop new monetization strategies that are less dependent on search engine traffic.

Quality Assurance & Fact-Checking

✅ Facts checked on 05.11.2025 - Article based on current Google quarterly figures
⚠️ To be verified: Specific revenue figures and growth rates not contained in available text excerpt

Supplementary Research

[Due to limited article text, no additional sources can be researched here]

Bibliography

Primary Source:
How Google Makes Billions with AI Search – FAZ Pro Digital Economy

Verification Status: ⚠️ Analysis based on article excerpt - full text required for detailed fact-checking